OTC stocks to own
Momentum & Growth

4 OTC Stocks to Own: BBKCF EEENF JPEX MDMP

The OTC bear market continues; however, this too shall pass. We’ve been here before and will be here again. Markets go in cycles and OTC stocks aren’t immune. Matter of fact, the OTC probably sees more bull and bear markets in a year than any other market.

But even in a bear market, there are still opportunities. In this article, we look at 4 OTC stocks to own. The OTC stocks are BIGG Digital Assets Inc (OTCQX: BBKCF), 88 Energy Limited (OTCQB: EEENF), JPX Global, Inc (OTCPK: JPEX), and MDM Permian, Inc (OTCPK: MDMP).

 

OTC stocks #1 BBKCF

OTC stocks #2 EEENF

OTC stocks #3 JPEX

OTC stocks #4 MDMP

OTC STOCKS #1 BBKCF

BIGG Digital Assets Inc has had a great week, surging by over 75% during the last five trading sessions. With Bitcoin continuing to run, BBKCF has more gas in the tank.

BBKCF bottomed out on January 24 near 50 cents, touching the lowest level in a year. The $0.5 to $0.6 range has acted as solid support that pushed the price higher on several occasions last year, and it worked this time as well. The price has more than doubled since then, trading at $1.16 as of today. If it manages to consolidate above the $1 mark, the next resistance is $1.5.

BIGG is a blockchain-oriented company that owns two operating businesses:

  • Blockchain Intelligence Group – it has developed a blockchain-agnostic search and analytics engine, QLUE, enabling law enforcement, regtech, regulators, and government agencies to visually track, trace and monitor cryptocurrency transactions at a forensic level. The company’s commercial product, BitRank Verified, offers a ‘risk score’ for cryptocurrencies, enabling RegTech, banks, ATMs, exchanges, and retailers to meet traditional regulatory/compliance requirements.
  • Netcoins – it develops brokerage and exchange software to make the purchase and sale of cryptocurrency easily accessible to the mass consumer and investor with a focus on compliance and safety. Netcoins utilizes BitRank Verified software and enables crypto transactions via retail locations globally, a self-serve crypto brokerage portal, and an Over-The-Counter (OTC) trading desk.

The latest price spike is related to the recovery in the price of Bitcoin and the rest of the crypto market, with the largest cryptocurrency by market cap adding over $7k to peak on Tuesday at about $45,000.

The performance of Bitcoin may partially dictate BBKCF’s performance to a certain degree, but the company itself is improving and is expecting greater revenue this year. In its latest update, BIGG said that in the last quarter it had recorded gross operating revenue of about half a million USD, up 114% year-on-year. The $270 million company said it was well-positioned to expand its customer base and grow its revenue through 2022.

During the last 12 months, dozens of new software clients were added, including a Fortune 500 bank, US regional banks, VASPs, a global management consultancy, KYC providers, accountants, and independent investigators. New contracts were secured evenly throughout North America, Europe, Asia, Australia, Africa, and South America. Training was delivered to dozens of organizations, such as federal agencies in the US and Canada, a Fortune 500 telecom, VASPs, blockchain industry associations, and others.

BIGG is the third most recognized blockchain analytics company globally by Share of Voice (SoV) – a gauge of brand mentions in global media coverage. The top two blockchain analytics companies by SoV are startups with valuations of $1+ billion.

While it depends on the performance of Bitcoin, we think BBKCF is a great bet.

OTC STOCKS #2 EEENF

88 Energy Limited continues with the bullish move that took off right before the New Year, gaining about 80% over the month. The OTCQB stock is now trading at $0.0371. On Tuesday, it peaked at $0.0381, the highest level since April.

Our subscribers and readers are already familiar with EEENF, as we shared our bullish expectations on several occasions. We shared our take on the OTC stock in March 2021, before the YTD high touched the following month. The share price has more than doubled since the last time we discussed EEENF in December, which once again demonstrates that we’re interested in identifying stocks before they rally.

88 Energy is an Alaska-focused oil exploration and appraisal company across about 440,000 net acres on the Alaskan Central North Slope and NPR-A regions, with a diversified portfolio of four highly prospective project areas: Project Icewine, Yukon Leases, Project Peregrine, and the Umiat oil field. The company is the operator across all of its portfolio of exploration and appraisal assets.

Investors have been closely watching the Peregrine project after the company announced that it would test the Merlin exploration well by drilling. In 2021, it launched operations and confirmed the potential existence of hydrocarbon-bearing zones at the site. On June 24, the company said that geochemical analysis of fluid extracts from selected core samples definitively demonstrated the presence of hydrocarbons.

In December, 88 Energy announced some progress on the Merlin-2 exploration well, which was planned to be drilled in the first quarter of 2022. The Merlin-2 appraisal is targeting 652 million barrels of oil in the highly prospective N18, N19, and N20 targets that were encountered in the successful Merlin-1 well (drilled in March 2021 to a depth of 5,267 feet), which demonstrated the presence of oil in these multiple stacked sequences within the Brookian Nanushuk Formation.

In mid-January, EEENF provided the latest update on Merlin-2. Commissioning of the Arctic Fox rig started ahead of mobilization to the Merlin-2 drilling location. Construction of the lane snow road to the location has also started. The permit to drill is in the final stages of review by the Bureau of Land Management. Spud of Merlin-2 remains on track for this month as scheduled.

In August, the company provided some updates on its Umiat oil field, which it acquired earlier this year. EEENF, via its wholly-owned subsidiary Emerald House LLC, which owns 100% of Umiat oil field leases AA-084141 and AA-081726 (Umiat Unit Leases), got notified from the Bureau of Land Management of approval of its request for a 24-month extension to the Year 2 Unit Obligations, and corresponding extensions for the Unit obligations in Years 3, 4 and 5.

Recently, EEENF got uplisted from Pink Current to OTCQB, and the $560+ million company is only starting its journey. Stakeholders have increased their stake in 2021, which reflects their confidence in EEENF’s great potential. We think this is a great OTC stock to hold long-term. Three pennies is nothing for this hidden gem.

OTC STOCKS #3 JPEX

JPX Global, Inc is a small company that recently went through a reverse merger. The Pink Current stock has actually tumbled about 60% over the month, but this is a great opportunity to buy the dip, as JPEX has solid fundamentals.

JPEX, with a market cap of $20 million, went through a reverse merger with VeeMost Technologies, LTD, an innovative cloud/cybersecurity global solutions and digital transformation services provider with locations in the US, India, and West Africa. VeeMost specializes in architecting, deploying, and managing secure digital solutions and platforms for customers to accelerate and enhance business efficiencies for increased profitability.

As a result, JPEX is about to change its name to VeeMost Technologies, Inc. The company will be looking to up-list to the OTCQB and NASDAQ afterward.

VeeMost plans to launch its own innovative cloud services and solutions by the last quarter of 2022 and thus play a significant role in the public cloud services market. In addition, VeeMost provides full lifecycle management for customer’s digital transformation journey to the cloud, from initial consultation and assessment to full migration and management of cloud services.

At the end of January, VeeMost launched its VeeShield Cloud Security product, which is the company’s first security product offering. VeeShield will be offered in three packages: Pro, Pro+, and Cloud hybrid next-generation firewall, all with excellent technical services to support the product. In this initial offering, VeeShield is being made available only to VeeMost’s corporate customers as part of their Managed Services bundle. It will then be publicly available for all enterprise users and home users at a date soon to be announced.

Cyber security threats are becoming a constant challenge. It is expected that companies will spend over $150 billion to address these threats, up 12.4% from 2021.

Despite the major correction that shed about 60% of the company’s value since its January peak, JPEX is a good OTC stock with strong fundamentals. It has an ideal share structure that prevents dilution and has no debt. VeeMost has secured deals with billion-dollar companies and is about to launch a variety of products in 2022. We think the stock is massively undervalued. How many OTC companies can brag about partnerships with giants like Microsoft or Cisco?

OTC STOCKS #4 MDMP

MDM Permian, Inc has surged by more than 370% since the beginning of January, peaking on Wednesday at $0.22, the highest since July. If it keeps this way and breaks above 25 cents, it will update the highest level since April.

MDMP is a smaller version of EEENF, but the Pink Current stock has some great potential. The $75 million company was established about five years ago in Texas by Michael L. Rafael. The primary objective of the MDMP is to build value in the Permian Basin of West Texas and Eastern New Mexico. This will be accomplished through strategic lease acquisition, drilling and producing oil and natural gas, purchase of existing production, re-working old oilfields for overlooked reserves, and waterflooding energy depleted zones.

MDM Permian operates its subsidiary MDM Energy, Inc, which was incorporated over three decades ago. The company has drilled over 125 wells in the Illinois Basin over the last decade and has been involved in all aspects of oil and gas development in the basin for over 35 years.

At the end of December, MDMP released an update, saying that work had begun on the Brown #1 well re-completion. The well, located in Nolan County, Texas, was originally drilled by North American Drilling Corp in October 2014. Brown #1 was perforated and completed in the Ellenburger formation at a depth of 6578 to 6590. The zone made a small amount of oil and turned to water. MDM believes this was the result of perforating the entire section instead of just the top four feet.

MDMP hired Permian Services rig at the location to remove the rods and tubing. After perforating, Permian Services rigged up to run the tubing back in the well and swab it dry. The first run had a good amount of oil on the front end before returning the water that the team MDMP team loaded. Natural Gas continued to bubble up as the team continued swabbing. The well was swabbed dry and shut in to await the fracking of the Strawn. Seven 500-barrel frac tanks are on location and loaded with fresh water in preparation for fracking.

Flying A Pumping Services has been contracted to pump the slick water frac. They will pump 118,880 gals of slick water with 145,000 lbs. of 40/70 mesh brown sand. Due to the holidays, scheduling and crew availability concerns, the job has been re-scheduled for January 18, 2022 and then re-scheduled another time for the beginning of February because of COVID concerns.

The well has been sitting shut in and today Permian Services is rigging up to swab the well dry for the frac.

NuTech Energy has advised MDMP that a successful frac could result in 200,000 barrels of recoverable BOE over the life of the well. Considering today’s oil price of $90 per barrel, it would make MDMP richer by about $18 million. This would also be a new field discovery as the closest Strawn production is over 3 miles to the Southwest. MDM Energy, Inc. has a permit for an offset location (Brown #2) to the southwest of Brown #1.

Brown #1 is only a small part of MDMP’s assets. We think this company will see its stock price surging and uplist to a higher-tier market. Back in September, MDMP said that it had completed a 4-year focused study, on a 24 sq. mile area in the Permian Basin. It discovered several overlooked targets in this area that have been identified, including the San Angelo, Clear Fork, Wichita Albany, Dean Wolfcamp, and Canyon Sands formations. Third-party engineers have confirmed an estimated 84 million barrels of producible oil in place from all sections combined. At today’s prices, this area has an estimated value of as much as $5 billion in undiscounted future revenues at current prices. The company plans to drill only vertical wells that are low risk and cost as compared to horizontal wells (HZ).

MDMP has surged from 4 cents at the end of last month to over 20 cents, and it will definitely count in dollars if at least half of the estimated oil volume is confirmed in all those target areas. It all depends on the results.

THE FINAL NOTE

All of the 4 OTC stocks discussed today are good stocks to own. The upside is much greater than the downside at these levels.

It’s also very important to eye OTC stocks that have yet to make their explosive move. There are plenty of opportunities, and we take our time to monitor hundreds of penny stocks to buy each week, trying to find the best alerts for our subscribers.

Remember, all you need is one or two penny stocks to succeed in order to crush the market averages.

As always, good luck to all (except the shorts)!

WHEN INSIDER FINANCIAL HAS A STOCK ALERT, IT CAN PAY TO LISTEN. AFTER ALL, OUR FREE NEWSLETTER HAS FOUND MANY TRIPLE-DIGIT WINNERS FOR OUR SUBSCRIBERS. WE SPECIALIZE IN FINDING MOMENTUM BEFORE IT HAPPENS!

Disclosure: We have no position in any of the securities mentioned. We wrote this article ourselves and it expresses our own opinions. We are not receiving compensation for it. We have no business relationship with any company whose stock is mentioned in this article. Insider Financial is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This article is not a solicitation or recommendation to buy, sell, or hold securities. This article is meant for informational and educational purposes only and does not provide investment advice.

4 OTC Stocks to Own: BBKCF EEENF JPEX MDMP
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